According to CoinMeta, the Indian rupee rose by 1% to 95.77 per US dollar after the Reserve Bank of India (RBI) took measures to cut the monthly demand for 12 billion US dollars. RBI introduced a special mechanism that allows major state-owned oil companies to purchase US dollars directly through designated banks, without relying on the regular spot market. This arrangement covers Indian Oil Corporation, Bharat Petroleum, and Oil India; as international crude oil prices remain high, these companies' demand for US dollars has increased the pressure on the rupee. Analysts estimate that this mechanism can divert about 10 to 12 billion US dollars of demand from the spot market each month. However, this mechanism does not eliminate India's demand for US dollars to purchase oil; rather, it changes the way the demand is supplied, which may alleviate immediate pressure on the exchange rate. RBI also tightened regulations on foreign exchange derivatives, prohibiting the rebooking of cancelled rupee-pegged contracts and requiring banks to hold 20% cash in certain currency hedging positions. These restrictions may reduce speculative demand but will also increase the costs for companies to protect themselves from exchange rate fluctuations. Despite the rupee's rise on Monday, the rupee has still depreciated by about 6.6% against the US dollar this year. As Brent oil prices remain above $100 per barrel, India's dependence on imported crude oil has become particularly expensive.